Hurricane Sandy will have an tremendous impact on the U.S. insurance market place, especially for Homeowners insurance. The market conditions were not great before and now with damage estimates between 5 – 10 billion Sandy will certainly have a negative affect on the insurance market.
Some companies will fair better than others but small to mid-size companies who had a large presence in the Northeast will be hit very hard. Erie insurance is one company who has a large presence in the Northeast but over all is a small company. Time will tell the direct impact Sandy has on the insurance company’s bottom line.